CVPR2010: Learnings from founding a computer vision startup: Chapter 3: Business plan: what and who to write it for?
3. Business Plan
Learnings from founding a Computer Vision Startup "a startup is an organization formed to search for a repeatable and scalable business model" @sgblank What? Who? When? Flickr: jurvetson
Learnings from founding a Computer Vision Startup What is it? “statement of a set of business goals, the reasons why they are believed attainable, and the plan for reaching those goals” -Wikipedia Basically: How you plan to do business Besides “the plan”, also (brief) history, technology, status.
Learnings from founding a Computer Vision Startup What’s in it? executive summary - short summary of everything below business description - what your company does business environment - what does the market(s) look like, why there is a market competitors - what are others doing in this market background & technology - where you come from and what you can do market analysis - size of market, market shares, entry points and barriers etc. marketing - how you are going to get attention and distribution operations - how will you solve things like hosting, infrastructure challenges management summary - who’s on the team ﬁnancials - cash status, monthly cash ﬂow, costs and revenues, current horizon (attachments) - supporting material and details
Learnings from founding a Computer Vision Startup Formats elevator pitch - a condensed teaser for introductions and surprise meetings, everyone should know this one by heart slide deck - for formal and informal company presentations, everyone should have a copy of this (written document) - formal and detailed document elaborating on the slide deck version, sometimes required by investors and other shareholders
Learnings from founding a Computer Vision Startup Who is it for? Primary: For yourself - to structure and document your plan for everyone in the company Secondary: For new employees - to get them to understand what the company does, is planning to do and why For investors - to understand where the company is and where it is going, elevator pitch for when they talk about their investment or give reference.
Learnings from founding a Computer Vision Startup Planning is guessing Business plan = business guess -ReWork Beware of (long term) projections of where the market will go and how much money you will make. Keep business plan simple and easy to change (slide deck!)
Learnings from founding a Computer Vision Startup Polar Rose: How we did it Never really had a formal document as business plan Most of the time it was a slide deck w notes
Learnings from founding a Computer Vision Startup kooaba: How we did it Rewrote our plan about a dozen times (can be really boring) Pitch slide deck, extended deck, business plan Extensive business plan was required for some seed money investors (banks) Having an Excel to check your numbers is crucial. (Exact values are not important, just to get a feeling for factors affecting business) These days: constant comparison to plan (#customers, revenue, ...)
Learnings from founding a Computer Vision Startup Resources (Startup advice on VC and entrepreneurship) @venturehacks Book: ReWork http://www.amazon.com/Rework-Jason-Fried/dp/ 0307463745 http://www.amazon.com/Art-Start-Time-Tested- Book: The art of the start Battle-Hardened-Starting/dp/1591840562
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